Payment Processing with Oracle Payments: What

1
Payment Processing with Oracle Payments Whats
New in Oracle E-Business Suite Release 12

• Victoria Anderson
• Manager, Payment Product Mangement

2

• PurposeThis document provides an overview of
  features and enhancements included in Release
  12.  It is intended solely to help you assess the
  business benefits of upgrading to Release 12.
• DisclaimerThis document in any form, software
  or printed matter, contains proprietary
  information that is the exclusive property of
  Oracle.  Your access to and use of this
  confidential material is subject to the terms and
  conditions of your Oracle Software License and
  Service Agreement, which has been executed and
  with which you agree to comply.  This document
  and information contained herein may not be
  disclosed, copied, reproduced or distributed to
  anyone outside Oracle without prior written
  consent of Oracle.  This document is not part of
  your license agreement nor can it be incorporated
  into any contractual agreement with Oracle or its
  subsidiaries or affiliates.   This document is
  for informational purposes only and is intended
  solely to assist you in planning for the
  implementation and upgrade of the product
  features described.  It is not a commitment to
  deliver any material, code, or functionality, and
  should not be relied upon in making purchasing
  decisions.  The development, release, and timing
  of any features or functionality described in
  this document remains at the sole discretion of
  Oracle.  

3
Agenda
ltInsert Picture Heregt

• What is Oracle Payments?
• Disbursements
• Key Disbursement Enhancements
• The Integrated Disbursement Process
• Oracle Payments Demo
• Funds Capture
• Key Funds Capture Enhancements
• The Integrated Funds Capture Process
• QA

4
Question for Audience What release are you on?

• Release 12
• Thinking about it
• Implementing it
• Already there
• Of those not live on R12
• Release 11.5.9 or earlier
• Release 11.5.10
• Something else

5
ltInsert Picture Heregt
What is Oracle Payments?
6
Payment Processing in Release 11i
Oracle Receivables
Oracle Global Financials
OracleiPayment
OraclePayables
Credit Card Payments
7
Payment Processing in Release 12
Order-to-Cash Products Receivables, iStore, Order
Management, Collections, Contracts
Procure-to-Pay Products Payables, Federal
Payables, Global Financials, Loans
One payment processing solution leveraged by
multiple products
Oracle Payments
DirectDebits
CheckPrinting
Bills ReceivableRemittances
EFTPayments
Credit Card Payments
8
Release 12
Oracle Payments Oracle Payments is a central
engine to disburse and capture payments. For
electronic payments, it connects Oracle EBS
products like Receivables and Payables to
financial institutions like banks and credit card
processors.

9
ltInsert Picture Heregt
Disbursements
10
Key Disbursement Enhancements Payment Formats

• Out-of-the-box Content
• Rich library of seeded electronic formats
• Intuitive Toolset for Making Changes
• Integration with XML Publisher makes it easy for
  business user to create or modify formats in any
  word editor
• Special capabilities of XML Publisher eText
  allows user-intuitive manipulation of
  electronic formats

110000002222061004LEVERANTÖRSBETALNINGAR 12IBY
SE INVOICE INFORMATION TEST FOR UPGRADE
061005 000000000
00000000000 7 0000 13FAKTURANR VERNR

EFT Format
26000002220 ADVANCED NETWORK DEVICES
27000002220
STORGATAN 5 39128KALMAR
14000002220 1000

EFT Format
11
Key Disbursement Enhancements Payment Formats

• Key formats supported out of the box include
• SWIFT MT 103
• ANSI X12 820
• EDIFACT PAYMUL
• NACHA
• NACHA CTX
• NACHA CCD
• NACHA CCDP
• NACHA PPD

12
Key Disbursement Enhancements Payment Formats
(eText)

13
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Rich library of country- and format-specific
  validations usable out of the box
• Highly configurable framework
• WHAT Define new validations rules
• WHEN Set timing of validations
• HOW Set how errors should be handled

14
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Validate upstream or downstream

Configurable validations
Invoice Entry Invoice Selection Payment Build File Creation Formatting Transmission
15
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Validate upstream or downstream

Configurable validations
Invoice Entry Invoice Selection Payment Build File Creation Formatting Transmission
16
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Format-specific validation rules are provided by
  the system out-of-the-box

17
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Add user-defined validations as necessary

18
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Define the rules for handling validation failures

19
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Oracle Payables notifies the user upstream of a
  validation failure

20
Key Disbursement Enhancements Configurable
Validation Rules and Processes

• Oracle Payments notifies the user downstream of a
  validation failure

21
Key Disbursement Enhancements Electronic
Transmission

• Set up configurations based on standard protocols
• Manually or automatically initiate the
  transmission of the payment file

22
Key Disbursement Enhancements Enhanced Process

• Separate out user needs During selection of
  invoices to be paid, Payables user wants to focus
  on financial benefit such as cash flow and
  discounts, not payment method
• Invoice selection is now agnostic of payment
  method
• Oracle Payments groups invoices into payments
  within the group selected invoices, and then
  groups payments into payment files based on
  hard-coded and user rules (without being confined
  to the selection group).

23
Key Disbursement Enhancements Enhanced Process

24
Key Disbursement Enhancements Process
Visibility Though New Dashboard

• Supports different business models
• Centralized AP and Payments
• Decentralized AP and centralized Payments
• Decentralized AP and decentralized Payments
• Guides the user with smart Take Action icon

25
Key Disbursement Enhancements Process Visibility
Though New Dashboard

26
Key Disbursement Enhancements Process Visibility
Though New Dashboard

27
Key Disbursement Enhancements Process Visibility
Though New Dashboard

28
Key Disbursement Enhancements Process Visibility
Though New Dashboard

• Specific pages depending on action needed

29
Key Disbursement Enhancements Process Visibility
Though New Dashboard

• Progress the process as appropriate

30
Key Disbursement Enhancements Process Visibility
Though New Dashboard

31
Key Disbursement Enhancements Process Visibility
Though New Dashboard

32
The Integrated Disbursement Solution Flexible
and Powerful

• End-to-end process from entry of the document
  payable to printing or electronic transmission
  can be automated
• Configurable validations and exception handling
  can be tailored to any business process or
  country requirement

PaymentRequest
Validations
Aggregation
Formatting
Transmission

• Detailed validations canbe configured tobe
  performed upstream or downstream

• Sophisticated defaulting of payment methods on to
  documents payable

• XML based formattingframework

• Rich out-of-the-box content andextensible
  framework

• Rule-basedaggregationof paymentinstruction

33
Release 11i Disbursement Process Oracle Payables

• Payment file contains exactly the payments that
  were selected, so selection has to be done based
  on payment method, currency, and operating unit

Payment File
34
Release 12 Disbursement Process Oracle Payments

• End product is minimum number of files needed for
  unique processing needs

TransmitPayments
PrintPayments
35
Release 12 Disbursement Process Impacted
Applications

• Significant impact
• Oracle Payables
• Global Financials
• Minor impact
• Oracle Cash Management (new Bank Transfer
  feature)
• Oracle Receivables (new Customer Refund feature)
• Oracle Loans (new payment method setup)
• Any product that pushes disbursements through
  Oracle Payables is taking advantage of the
  richness of Oracle Payments functionality
• Oracle Payroll is the exception to the central
  disbursement engine

36
ltInsert Picture Heregt
Oracle Payments Demo Straight-Through Processing
37
System Settings
Payment Method
Currency
USD
Check
Check US Standard
Cheque EUR Laser
EUR
Check
Electronic
USD
SWIFT MT103
FTP
EUR
38
Oracle Payments Demo

39
Oracle Payments Demo

• First Level Bullet

40
Oracle Payments Demo

• First Level Bullet

41
Oracle Payments Demo

• First Level Bullet

42
Oracle Payments Demo

• First Level Bullet

43
Oracle Payments Demo

• First Level Bullet

44
Oracle Payments Demo

• First Level Bullet

45
Oracle Payments Demo

• First Level Bullet

46
Oracle Payments Demo

• First Level Bullet

47
Oracle Payments Demo

• First Level Bullet

48
Oracle Payments Demo

• First Level Bullet

49
Oracle Payments Demo

• First Level Bullet

50
Oracle Payments Demo

51
ltInsert Picture Heregt
Supporting a Shared Service Center
52
Shared Service CentersThree Operating Models

• Decentralized
• Each business unit handling payment process to
  completion
• Shared Service Center
• Fully centralized
• Payment Factory
• Decentralized invoice selection and centralized
  payment process handling

53
Shared Service Centers Decentralized Process

• Each operating unit handling payment process to
  completion

Invoice Selection
Invoice Entry
Payment Processing
Operating Unit Vision Spain
Operating Unit Vision Spain
Operating Unit Vision Spain
Operating UnitVision Italy
Operating UnitVision Italy
Operating UnitVision Italy
54
Shared Service Centers Decentralized Process

• Two operating units, two responsibilities

55
Shared Service Centers Decentralized Process

• Italian user selects Italian invoices
• Spanish user selects Spanish invoices

56
Shared Service Centers Decentralized Process

• Italian user acts on Italian payments
• Spanish user acts on Spanish payments

57
Shared Service Centers Centralized Process

• Shared service center handles all disbursement
  functions

Invoice Selection
Invoice Entry
Payment Processing
Vision Spain
Shared Service Center
Shared Service Center
Shared Service Center
Invoice Spain
Vision Italy
Invoice Italy
58
Shared Service Centers Centralized Process

• A multi-org security profile

59
Shared Service Centers Centralized Process

• Two operating units, one responsibility

60
Shared Service Centers Centralized Process

• Shared service user selects all invoices

61
Shared Service Centers Centralized Process

• Shared service user acts on all built payments in
  dashboard designed for centralized processing

62
Shared Service Centers Payment Factory Process

• Invoice selection by operating unit but
  processing by central payment specialist

Invoice Entry
Payment Processing
Invoice Selection
Operating Unit Vision Spain
Operating Unit Vision Spain
Euro security profile Vision Spain Vision Italy
Operating UnitVision Italy
Operating UnitVision Italy
63
Shared Service Centers Payment Factory Process

• Two operating units, three responsibilities

Same as Decentralized
Same as Centralized
64
Shared Service Centers Payment Factory Process

• Italian user selects Italian invoices
• Spanish user selects Spanish invoices

Same as Decentralized
65
Shared Service Centers Payment Factory Process

• Shared service user acts on all built payments in
  dashboard designed for centralized processing

Same as Centralized
66
ltInsert Picture Heregt
Funds Capture
67
Key Funds Capture Enhancements Configurability

• Funds Capture Process Profile is the focal point
  of configurability

Process Attributes Authorization
Format Settlement Format Acknowledgement
Format Settlement Grouping Settlement Batch
Limits Transmission Configuration External
Reporting
Transaction Attributes Operating Unit Payment
Method Routing Rule Conditions
Funds Capture Process Profile (via Payees
Routing Rules)
68
Key Funds Capture Enhancements Process
Visibility Though New Dashboard

• Significant impact
• Oracle Payables

69
The Integrated Funds Capture Solution Flexible
and Streamlined

• End-to-end process from authorization through
  settlement and acknowledgement can be automated
• Handles credit and debit card captures and
  electronic bank transfers from multiple calling
  products in EBS

Request
Settlement
Acknowledgement
Authorization

• Routing rules drive how the transaction will be
  processed and which third party payment system
  will be used

• Payments automatically queries payment system for
  acknowledgement of transaction success

• Upstream products call Payments to authorize
  transaction with third party payment system

• Payments calls payment system in individual or
  batch mode to request settlement

70
R12 Funds Capture Process Supporting Straight
Through Processing

• Configurability to support diverse business
  models and regional needs without customization
  enables global processes
• Automation to streamline process and save costs
  through electronic straight through processing
• Integration with XML Publisher to shift
  implementation and maintenance of payment formats
  from technical to business user
• Single repository of external-party payment
  instruments (bank account and credit/debit card
  numbers) with masking and encryption aids
  deploying company in security and compliance
  issues

71
R12 Funds Capture Process Payment Systems

• There are adaptors available for the following
  payment systems but adaptors can be created for
  and by any company.

• Concord EFSnet
• Credit Card
• Purchase Card Level 3
• PINless Debit Card
• US ACH, including Online Account Validation

• Paymentech
• Credit Card
• Purchase Card Level 3
• PINless Debit Card
• US ACH, including Online Account Validation

• CyberSource
• Credit Card
• Purchase Card Level 2

• First Data (North Platform)
• Credit Card
• Purchase Card Level 2

• Wells Fargo
• Credit Card
• Purchase Card Level 2
• US ACH

• VeriSign
• Credit Card
• Purchase Card Level 2

72
Q

A
73
For More Information
http//search.oracle.com
Financials
or http//www.oracle.com/
74
The preceding is intended to outline our general
product direction. It is intended for information
purposes only, and may not be incorporated into
any contract. It is not a commitment to deliver
any material, code, or functionality, and should
not be relied upon in making purchasing
decisions.The development, release, and timing
of any features or functionality described for
Oracles products remains at the sole discretion
of Oracle.
75
(No Transcript)
76
(No Transcript)